Angels Return to the Theatre

Angels are making a welcome return to their origins. UK business angel network Beer & Partners are delighted to report that a ten-strong syndicate of their registered investors have recently delivered a £400,000 investment to a West End theatre production company.

The term ‘business angel’ is thought to have derived from the notion of ‘theatre angels’; affluent financial supporters of theatre productions motivated by a deep-rooted love of the arts. Theatre angels are often the lifeblood of commercial theatre, enabling shows to be made and in the process guaranteeing their direct, personal involvement with the production and insider benefits.

The term ‘angel’ has developed over time, now more broadly applied to those individuals who seek to invest in not only theatre, but businesses in general. Typically, theatre is often regarded as a particular risk for angel investing; the comfortable domain of high net worth theatre-goers whose interest in gaining return comes second to their passion for the industry. However, recent trends suggest the opposite. Reports suggest that new attendance and revenue records have been set for the last eight consecutive years. Shrewd business angels are beginning to take note of the strength of the industry. The recent investment into the West End through Beer & Partners suggests that angels are contemplating the fund-seeking arts productions with a business perspective. Passion for the arts, it seems, is no longer the driving incentive behind investments into theatre.

This independent theatre production company attended the Beer & Partners London Investment Fair in last Summer at a point where they were seeking investment. The crucial message to convey to potential investors is that show business is exactly that; a business. Beer’s angels were clearly in agreement as they’ve recently injected a first funding round of £400,000 into their current production, due to hit London’s West End this Spring. This is the first such client that Beer has taken on. While casting and promotion continue for the production, Beer has confirmed that a second round of funding is now underway for the final £600,000 needed to progress the business’s development.